[Federal Register Volume 71, Number 141 (Monday, July 24, 2006)]
[Proposed Rules]
[Pages 41741-41743]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E6-11737]


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DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 1220

[No. LS-06-01]


Soybean Promotion and Research: Amend the Order to Adjust 
Representation on the United Soybean Board

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Proposed rule.

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SUMMARY: This proposed rule would adjust the number of members for 
certain States on the United Soybean Board (Board) to reflect changes 
in production levels that have occurred since the Board was 
reapportioned in 2003, which became effective with 2004 nominations. 
These adjustments are required by the Soybean Promotion and Research 
Order (Order) and would result in an increase in Board membership from 
64 to 68 effective with the Secretary's 2007 nominations and 
appointments.

DATES: Written comments must be received by August 23, 2006.

ADDRESSES: Send any written comments to Kenneth R. Payne, Chief; 
Marketing Programs Branch; Livestock and Seed Program; Agricultural 
Marketing Service (AMS), USDA, Room 2638-S; STOP 0251; Washington, DC 
20090-0251. Comments may be sent by facsimile to 202/720-1125 or via e-
mail at [email protected] or http://www.regulations.gov. State 
that your comments refer to Docket No. LS-06-01. Comments will be 
available for public inspection during regular business hours between 8 
a.m. and 4:30 p.m., Monday through Friday, except holidays or on the 
Internet at http://www.ams.usda.gov/lsg/mpb/rp-soybean.htm.

[[Page 41742]]


FOR FURTHER INFORMATION CONTACT: Kenneth R. Payne, Chief, Marketing 
Programs Branch, 202/720-1115 or via e-mail at [email protected].

SUPPLEMENTARY INFORMATION: 

Executive Order 12866

    The Office of Management and Budget (OMB) has waived the review 
process required by Executive Order 12866 for this action.

Executive Order 12988

    This rule was reviewed under Executive Order 12988, Civil Justice 
Reform. It is not intended to have a retroactive effect. This rule 
would not preempt any State or local laws, regulations, or policies 
unless they present an irreconcilable conflict with this rule.
    The Soybean Promotion, Research, and Consumer Information Act (Act) 
provides that administrative proceedings must be exhausted before 
parties may file suit in court. Under Sec.  1971 of the Act, a person 
subject to the Order may file a petition with the Secretary stating 
that the Order, any provision of the Order, or any obligation imposed 
in connection with the Order, is not in accordance with law and 
requesting a modification of the Order or an exemption from the Order. 
The petitioner is afforded the opportunity for a hearing on the 
petition. After a hearing, the Secretary would rule on the petition. 
The Act provides that the district courts of the United States in any 
district in which such person is an inhabitant, or has his principal 
place of business, has jurisdiction to review the Secretary's ruling on 
the petition, if a complaint for this purpose is filed within 20 days 
after the date of the entry of the ruling.

Regulatory Flexibility Act

    The Agricultural Marketing Service has determined that this rule 
will not have a significant economic impact on a substantial number of 
small entities as defined by the Regulatory Flexibility Act (5 U.S.C. 
601 et seq.), because it only adjusts representation on the Board to 
reflect changes in production levels that have occurred since the Board 
was reapportioned in 2003. The purpose of the RFA is to fit regulatory 
actions to the scale of businesses subject to such actions in order 
that small businesses will not be unduly burdened. As such, these 
changes will not impact on persons subject to the program.
    There are an estimated 663,800 soybean producers and an estimated 
10,000 first purchasers who collect the assessment, most of whom would 
be considered small entities under the criteria established by the 
Small Business Administration (13 CFR 121.601).

Paperwork Reduction Act

    In accordance with OMB regulations [5 CFR part 1320] that implement 
the Paperwork Reduction Act of 1995 [44 U.S. C. Chapter 35], the 
information collection and recordkeeping requirements contained in the 
Order and Rules and Regulations have previously been approved by OMB 
under OMB control number 0581-0093.

Background and Proposed Changes

    The Act (7 U.S.C. 6301-6311) provides for the establishment of a 
coordinated program of promotion and research designed to strengthen 
the soybean industry's position in the marketplace, and to maintain and 
expand domestic and foreign markets and uses for soybeans and soybean 
products. The program is financed by an assessment of 0.5 percent of 
the net market price of soybeans sold by producers. Pursuant to the 
Act, an Order was made effective July 9, 1991. The Order established a 
Board of 60 members. For purposes of establishing the Board, the United 
States was divided into 31 geographic units. Representation on the 
Board from each unit was determined by the level of production in each 
unit. The Secretary appointed the initial Board on July 11, 1991. The 
Board is composed of soybean producers.
    Section 1220.201(c) of the Order provides that at the end of each 
three (3) year period, the Board shall review soybean production levels 
in the geographic units throughout the United States. The Board may 
recommend to the Secretary modification in the levels of production 
necessary for Board membership for each unit.
    Section 1220.201(d) of the Order provides that at the end of each 
three (3) year period, the Secretary must review the volume of 
production of each unit and adjust the boundaries of any unit and the 
number of Board members from each such unit as necessary to conform 
with the criteria set forth in Sec.  1220.201(e): (1) To the extent 
practicable, States with annual average soybean production of less than 
3,000,000 bushels shall be grouped into geographically contiguous 
units, each of which has a combined production level equal to or 
greater than 3,000,000 bushels, and each such group shall be entitled 
to at least one member on the Board; (2) units with at least 3,000,000 
bushels, but fewer than 15,000,000 bushels shall be entitled to one 
board member; (3) units with 15,000,000 bushels or more but fewer than 
70,000,000 bushels shall be entitled to two Board members; (4) units 
with 70,000,000 bushels or more but fewer than 200,000,000 bushels 
shall be entitled to three Board members; and (5) units with 
200,000,000 bushels or more shall be entitled to four Board members.
    Proposed representation on the Board, which would be 68 members, is 
based on average production levels for the years 2001-2005 (excluding 
the crops in years in which production was the highest and in which 
production was the lowest) as reported by the Department of 
Agriculture's National Agricultural Statistics Service in the ``Crop 
Production 2005 Summary'', which was published in January 2006.
    The number of geographical units would remain at 30. As a result of 
Florida recently being decertified as a Qualified State Soybean Board, 
Florida will become a part of the Eastern Region.
    This proposed rule would adjust representation on the Board as 
follows:

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                                                                     Current          Proposed         Proposed
                             State                               representation    representation   representation
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Nebraska......................................................                 3                 4
North Dakota..................................................                 2                 3
Pennsylvania..................................................                 1                 2
Virginia......................................................                 1                 2
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    Board adjustments as proposed by this rulemaking would become 
effective, if adopted, with the 2007 nominations and appointments.

List of Subjects in 7 CFR Part 1220

    Administrative practice and procedure, Advertising, Agricultural

[[Page 41743]]

research, Marketing agreements, Soybeans and soybean products, 
Reporting and recordkeeping requirements.

    For the reasons set forth in the preamble, it is proposed that 
Title 7, part 1220 be amended as follows:

PART 1220--SOYBEAN PROMOTION, RESEARCH, AND CONSUMER INFORMATION

    1. The authority citation for 7 CFR part 1220 continues to read as 
follows:

    Authority: 7 U.S.C. 6301-6311.

    2. In Sec.  1220.201, the table immediately following paragraph (a) 
is revised to read as follows:


Sec.  1220.201  Membership of board.

* * * * *

------------------------------------------------------------------------
                                                              Number of
                            Unit                               members
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Illinois...................................................            4
Iowa.......................................................            4
Minnesota..................................................            4
Indiana....................................................            4
Nebraska...................................................            4
Missouri...................................................            4
Ohio.......................................................            3
Arkansas...................................................            3
South Dakota...............................................            3
Kansas.....................................................            3
Michigan...................................................            3
North Dakota...............................................            3
Mississippi................................................            2
Louisiana..................................................            2
Tennessee..................................................            2
North Carolina.............................................            2
Kentucky...................................................            2
Pennsylvania...............................................            2
Virginia...................................................            2
Maryland...................................................            2
Wisconsin..................................................            2
Georgia....................................................            1
South Carolina.............................................            1
Alabama....................................................            1
Delaware...................................................            1
Texas......................................................            1
Oklahoma...................................................            1
New York...................................................            1
Eastern Region (Florida, Massachusetts, New Jersey                     1
 Connecticut, Florida, Rhode Island, Vermont, New
 Hampshire, Maine, West Virginia, District of Columbia, and
 Puerto Rico...............................................
Western Region (Montana, Wyoming, Colorado, New Mexico,                1
 Idaho, Utah, Arizona, Washington, Oregon, Nevada,
 California, Hawaii, and Alaska)...........................
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* * * * *

    Dated: July 18, 2006.
Lloyd C. Day,
Administrator, Agricultural Marketing Service. 1
 [FR Doc. E6-11737 Filed 7-21-06; 8:45 am]
BILLING CODE 3410-02-P